What are peoples' thoughts on this one?
Mine are:
1. Daily chart looks a bit tired to the upside
2. Good support from Commodities + Oil
3. I didnt think the Fed statement offered anything which wasnt already known before the event.
4. Cross support elsewhere, is limiting dollar gains on...
I disagree, its not the same geopolitically. I think it is stuggling aground the 1.17 level. Should get to 1.158.
I would say GBP would be the next in the line after NZD, AUD in terms of a sub 1.70 for starters.
What is the point longing the kiwi when rates are going down there, up in JPY, EUR, USD. The carry trade differential is coming to an end.
Cannot see the logic in it. Can you enlighten me on your reasoning for going long?
I have gone short here at .7290 looking for sub .72's, stop .7340
My reasoning being:
1. Carry trade is unwinding on NZ and AUD
2. Demand for Eurozone currencies
3. Yield contraction against USD and Eur
4. A faller even against borad dollar weakness.
5. Break of .7308 (14 week low)